A total of 34 banks joined the general syndication stage of a dual tranche US$467 million and Euro 224.4 million term loan facility launched by the African Export-Import Bank (Afreximbank) to enable it repay existing debt and meet trade finance and general corporate purposes.
Launched into general syndication on 27 January with the support of 12 Banks, the syndication was so well received that it enjoyed a significant increase of US$227 million and Euro 80 million from the initial amount.
“Today is certainly a great day for us as a bank and for Africa as a continent” said Afreximbank President Jean-Louis Ekra at the official signing ceremony held in Frankfurt, Germany on 14 April. Recalling Afreximbank’s entry into the syndicated Loans market in 2000, he noted that from a deal size of slightly over 100 million dollars subscribed to by a handful of banks, “we are today celebrating a deal almost eight times as big and with the participation of 35 banks from across the globe”.
The facility was supported when it was launched into general syndication by Arab Banking Corporation (B.S.C.); the Bank of Tokyo-Mitsubishi UFJ, Ltd.; Barclays Bank Egypt SAE; Commerzbank Aktiengesellschaft; First Rand Bank Limited (London Branch); HSBC Bank plc; the Korea Development Bank; the Standard Bank of South Africa Limited, Isle of Man Branch; Standard Chartered Bank and Sumitomo Mitsui Banking Corporation Europe Limited as initial mandated lead arrangers and bookrunners. KfW IPEX-Bank GmbH, an initial mandated lead arranger, and was later joined by ICBC (London) plc as mandated lead arranger and bookrunner.
Not only does this Facility represent the largest ever syndicated loan for African Export–Import Bank, it is also the largest ever syndicated loan raised for an African financial institution based outside the Republic of South Africa.
President Jean-Louis Ekra of Afreximbank (centre) speaking after receiving a set of trophies at the signing ceremony.